Archive for the ‘petro-dollar’ Category

Globalization faces a big test: the rapid rise of state-run investment arms by China, Russia and other cash-rich nations.

These countries want to earn better returns on their massive currency reserves, but some in the West fear sovereign wealth funds may try to control strategic assets or invest for geopolitical reasons.

Cooler heads seemed likely to prevail at an Oct. 19-22 meeting of the Group of Seven nations — the U.S., Japan, U.K., Canada, France, Germany and Italy. G-7 finance chiefs planned to just ask China and other nations to give more data on state-run fund activities.